Mokelumne Hill Sanitary District
Prop 218 Notice and Information of Public Hearings
Regarding Proposed Changes and Increase in Rates
Transforming Wastewater Infrastructure
for a Stronger Community
The Mokelumne Hill Sanitary District (District) Board of Directors will hold two public meetings. The first is an informational Town Hall Meeting on March 18, 2026 for the Board to share information and hear public input. No action will be taken by the Board at this meeting. The second is a public hearing on April 15, 2026 where the Board will take action to potentially adopt wastewater rate changes for the next five years.
TOWN HALL INFORMATIONAL MEETING TO DISCUSS THE PROPOSED RATE ADJUSTMENT
March 18, 2026, 6:30 p.m.
Mokelumne Hill Town Hall - 8283 Main Street, Mokelumne Hill, CA 95245
PUBLIC HEARING FOR BOARD TO TAKE ACTION ON THE PROPOSED RATE ADJUSTMENT
April 15, 2026, 6:30 p.m.
Mokelumne Hill Town Hall - 8283 Main Street, Mokelumne Hill, CA 95245
About the District
The Mokelumne Hill Sanitary District (District or MHSD) is an independent special district governed by the Mokelumne Hill Board of Directors under the Sanitary District Act of 1923. The District owns and operates the wastewater (sewer) collection, treatment, and disposal facilities serving the unincorporated community of Mokelumne Hill. The District’s system has sufficient capacity to serve the existing customer base and projected demand. Like many rural communities in California, Mokelumne Hill has a static or declining population base. There have only been two new sewer connections added to the system in the past ten years.
The Board of Directors is composed of five community members elected to four-year terms. District operations are supported by a working board and a board president with a Grade 1 Wastewater operators permit. Three (3) part-time employees overseen by the board president control costs by performing maintenance and repairs in-house whenever feasible and by carefully evaluating all expenditures.
About the Project
In 2019, the District applied for and was awarded a $500,000 Clean Water State Revolving Fund (CWSRF) planning grant to conduct preliminary feasibility and engineering studies to address needed upgrades to the system. At the end of the planning process, the District applied for and was awarded approximately $11 million in additional construction funding by the State Water Board in the Fall of 2024 to fund the projects. The approximately $11.5 million improvements are 100% grant funded at no cost to District ratepayers. Construction of the improvements will commence this year and be completed by December 2027.
The projects include:
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Replace three (3) sewer mainlines (Easy Bird, Maretta Lane and Garden Lane)
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Eliminate the need for two (2) sewer lift stations and replace with a gravity fed main line to the treatment plant
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Upgrade the treatment plant office/lab
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Line two (2) wastewater treatment lagoons (mandated by the Regional Water Quality Board)
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Automate the disposal of treated wastewater on the District’s four spray fields
Why is a Rate Increase Needed?
In Fiscal Year 2026, the District expects to incur about $298,600 in expenses to operate and maintain the sewer system.
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Operating expenses consist of staffing, County fees, administration, State Water Board permits, State Department of Water Resources fees, outside and professional services, equipment and maintenance, and utilities.
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County fees are expected to remain at 1% of total sewer revenue each year.
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State Department of Water Resources fees have increased 64% from $8,984 in 2017 to $14,635 in 2025, and State Water Resources Control Board licenses and permits have doubled in the past 10 years from $16,505 to $36,450.
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Utilities, labor costs, materials, equipment are expected to increase over the next five years.
District operations and maintenance costs are currently under the market cost due to the working board, and MHSD president’s Grade I wastewater license that allows for in-house maintenance and supervision of the three part-time employees.
It should be noted that the $11 million grant-funded project is a capital improvement project. This funding cannot be used to support District operations.
Are MHSD Rates Similar to
Neighboring Communities?
The chart at the right shows the District’s current and proposed annual rates compared to the annual wastewater cost of service charged by other local utilities.
With the proposed rate increase, the District’s rates will remain in the bottom half of rates charged by neighboring agencies.
Questions?
Contact MHSD | 800-223-6503 | mhsanitarydistrict@outlook.com